- South Korean stocks dropped for a second consecutive session, losing about $2.18 trillion in market value.
- The KOSPI index fell as much as 12.6% before closing down 6%, extending a near-11% rout from the previous day, putting the market on course for its steepest monthly drop on record.
- The plunge was fueled by reduced interest in chipmakers, which had previously benefited from AI-driven growth.
- Finance Minister Koo Yun-cheol apologized for the introduction of single-stock leveraged ETFs and announced government review of market stabilization measures, including caps on individual investments and higher trading costs.
- Despite the drop, the KOSPI is still up 41.5% in U.S. dollar terms year-to-date, making it the best-performing major market this year.